Spain: CNMC hits RENFE rail monopoly with historic fine

Spanish railway operator RENFE has been struck with a €65 million euro fine over their efforts to hamper competitors in their materials transport business, a move that has been an “obstacle” to full liberalization of this sector since Spain opened up their railways in 2005, raising prices for products transported by rail.

The fine is the largest ever imposed by the Super-regulator on one single company, as well as the first ever imposed for deliberate obstacles imposed on liberalization efforts. The CNMC also imposed a €10.5 million euro fine on German rail operator Deutsche Bahn over their support of RENFE’s attempts to block other competitors from the market.

RENFE and DB are two of Europe’s largest railroad operators and the number 1 and 2 operators in Spain, respectively. Taken jointly, RENFE and DB hold up to 100% of the materials transport market for some sectors, such as steel and automotive. However, this is relative to Spain’s tiny railroad transport industry, which represents only 5% of all cargo.

Full Content: Europa Press

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.